9 February 2009

Stimulus efforts eclipse bank plan

The following article is excerpted from the 9 February 2009 edition of the “Toronto Star”.

The Obama administration has pushed back until tomorrow the announcement of a keenly awaited bank rescue plan as it pressed lawmakers to settle their differences over a huge economic stimulus package….

But the Senate is now expected to be focused on a massive economic stimulus ahead of a vote tomorrow. For that reason, Treasury Secretary Timothy Geithner postponed until tomorrow the release of details of how the administration plans to use the $350 billion (U.S.) remaining of the $700 billion so-called Troubled Asset Relief Program (TARP) financial bailout program. Banks worldwide have been laid low by huge losses on U.S. mortgage-related debts. The stimulus and bank rescue plan are key parts of President Barack Obama's strategy for tackling the deepest financial crisis in the U.S. since the Great Depression….